Leaving Drinks - Whats the form?

[Ruprect]

Hi All,

Just canvassing opinion on what (if any) drinks you buy for clients when you leave a contract. Do you take the whole team out or just the boss. Do you get all drinks all night? Put card behind the bar etc etc.

Last contract I went with the team at lunchtime and bought everyone at least one drink (ended up propping the bar up for the whole afternoon, so the afternoon paid for itself )

Finally, for the really cheeky - did you claim the bar bill as expenses (surely not?)

[ASB]

Hi All,

Just canvassing opinion on what (if any) drinks you buy for clients when you leave a contract. Do you take the whole team out or just the boss. Do you get all drinks all night? Put card behind the bar etc etc.

Last contract I went with the team at lunchtime and bought everyone at least one drink (ended up propping the bar up for the whole afternoon, so the afternoon paid for itself )

Finally, for the really cheeky - did you claim the bar bill as expenses (surely not?)

you sure you weren't discussiong furture potential opportunities?.

Start here: http://www.hmrc.gov.uk/manuals/eimanual/EIM32615.htm

[thunderlizard]

I wouldn't just take out the boss. I try and get the entire decision-making network. Mainly because the boss is usually the most boring of the lot.

And surely client entertainment is a legit business expense. Do you think McKinsey do it out of their own pockets?

[bfg]

I wouldn't just take out the boss. I try and get the entire decision-making network. Mainly because the boss is usually the most boring of the lot.

And surely client entertainment is a legit business expense. Do you think McKinsey do it out of their own pockets?

My rule of thumb has always been take the team out and spend up to 1 days invoicing. I have always claimed it as a legitimate expense, this is a current client with potential future business coming your way.

As for only inviting the boss, do you think he will still be the boss next year, or in five years? You want them to come to you next time so you can get the agent down to a payroll only deal (about 5%) and if by then the trainee is the boss you want him thinking of you as an 'all round good chap'. Put the team on the company christmas card list too - another legitimate expense BTW.

Not done it for a while but another contractor mentioned you might have to tell them to declare it to the taxman these days if you spend over a certain amount per head.

[tim123]

I wouldn't just take out the boss. I try and get the entire decision-making network. Mainly because the boss is usually the most boring of the lot.

And surely client entertainment is a legit business expense. Do you think McKinsey do it out of their own pockets?

Client entertainment is specifically NOT a buisness expense and hasn't been so for at least 25 years. It is not deductable for CT purposes nor is the VAT reclaimable.

So yes, if you want to do it you do do it out of your own pocket.

tim

[ratewhore]

Client entertainment is specifically NOT a buisness expense and hasn't been so for at least 25 years. It is not deductable for CT purposes nor is the VAT reclaimable.

So yes, if you want to do it you do do it out of your own pocket.

tim

You most certainly do not do it out of your own pocket. You are right in that it is not tax deductable though. All this means to those who don't know is that corporation tax is worked out before taking the client entertainment expenses off the profit...

[Lockhouse]

Not me

I just leave quietly. I might go out for lunch with a fellow contractor or two in the week before I leave, but I've got nothing to say to the permies on a social level, so why pretend? Onwards and upwards.

[kramer]

Depending on the size of the team i tend to take them for a pub lunch and a drink.. i have been advised by my accountant that taking your current team out is not expensable..but then i pay far too much for conflicting advise..

[kramer]

on a side note ... every friday me and a couple other contractors treat the team to a bacon sandwich comes to about £7 each and definitely helps the "yeah you contractors are all about the $$$ " kind of permie attitude

[Troll]

on a side note ... every friday me and a couple other contractors treat the team to a bacon sandwich comes to about £7 each and definitely helps the "yeah you contractors are all about the $$$ " kind of permie attitude

I hope you spit in them before delivery